Setting Up a Company in Hong Kong as a Foreigner: The Complete Guide

Hong Kong is one of the easiest places in the world for foreigners to set up a company. There is no requirement to be a Hong Kong resident, no requirement to hold a local passport, and no restriction on foreign ownership. You can own 100% of a Hong Kong company as a non-resident, and the entire incorporation process can be completed remotely without ever setting foot in the city.

That said, there are a few things you need to know before you start. This guide covers the full process, requirements, costs, and practical considerations for non-residents incorporating in Hong Kong.

Can Foreigners Incorporate a Company in Hong Kong?

Yes, without restriction. Under the Companies Ordinance (Cap. 622), there is no nationality or residency requirement for company directors or shareholders. Foreign nationals of any country can:

• Serve as the sole director of a Hong Kong company

• Be the sole shareholder with 100% ownership

• Incorporate entirely remotely from overseas

• Operate the company from outside Hong Kong

This makes Hong Kong one of the most accessible jurisdictions in Asia for foreign entrepreneurs, investors, and businesses looking to establish a regional presence.

What Do Non-Residents Need?

While there are no restrictions on who can be a director or shareholder, there are two requirements that involve a local Hong Kong presence:

1. A Hong Kong-Resident Company Secretary

Every Hong Kong company must appoint a company secretary under Section 474 of the Companies Ordinance. If the secretary is a natural person, they must ordinarily reside in Hong Kong. If the secretary is a body corporate, it must have a registered office in Hong Kong and hold a valid TCSP (Trust or Company Service Provider) licence.

For most non-residents, this means engaging a professional company secretarial service provider in Hong Kong. This is standard practice and is included in most incorporation packages.

2. A Registered Office Address in Hong Kong

Your company must have a physical address in Hong Kong for its registered office. P.O. boxes do not qualify. The registered office address is where the company receives official correspondence from the Companies Registry and the Inland Revenue Department.

Non-residents typically use the address of their company secretary or a professional registered office provider. This can be arranged as part of the incorporation setup.

The Remote Incorporation Process

The entire incorporation can be completed without travelling to Hong Kong. Here is how it typically works:

• Step 1: Engage a service provider. Choose a Hong Kong-based corporate services provider (such as IMSG) who will act as your company secretary and registered office provider.

• Step 2: Provide your documents. You will need to supply scanned copies of your passport, proof of residential address (a utility bill or bank statement from your home country), and details of the proposed company name, share capital, and business activities.

• Step 3: The provider prepares and files the documents. Your service provider will prepare the NNC1 form, Articles of Association, and IRBR1 notice, and file them with the Companies Registry via the e-Registry portal.

• Step 4: Receive your incorporation documents. Once approved (typically within 1 business day for e-filings), you will receive your Certificate of Incorporation, Business Registration Certificate, and all statutory records.

The process typically takes 3 to 7 working days from start to finish, including document preparation.

How Much Does It Cost for Non-Residents?

The government fees are the same for residents and non-residents:

• Incorporation fee (e-filing): HK$1,545

• Business Registration Certificate (1-year): HK$2,200 (HK$2,350 from April 2026)

Professional service fees for non-resident incorporations are also comparable to resident incorporations. A typical all-inclusive first-year package (incorporation, company secretary, registered office) costs between HK$7,000 and HK$12,000.

Additional costs to consider include bank account opening assistance (HK$1,000 to HK$3,000 if needed) and ongoing annual compliance (company secretary, annual return, audit).

Opening a Bank Account as a Non-Resident

This is often the most challenging part of the process for non-residents. Hong Kong banks have strict Know Your Customer (KYC) and anti-money laundering (AML) requirements, and non-resident applicants typically face additional scrutiny.

Key challenges include:

• In-person or video verification: Most traditional banks require at least one meeting with a director, either in person at a branch or via video call.

• Extensive documentation: Banks will ask for passports, proof of address, a detailed business plan, source of funds documentation, board resolutions, and reference letters from existing banks.

• Longer processing times: Non-resident applications typically take 6 to 8 weeks, compared to 2 to 3 weeks for local applicants.

• Minimum deposit requirements: Some banks require initial deposits of HK$50,000 to HK$100,000 or more.

Virtual banks (such as ZA Bank and Mox) have made the process somewhat easier, though their services may be more limited than traditional banks. Working with a professional service provider who has established relationships with banks can significantly improve your chances of a smooth account opening.

Tax Implications for Non-Resident-Owned Companies

Hong Kong operates on a territorial source principle of taxation. This means only profits that arise in or are derived from Hong Kong are subject to profits tax. The tax residence of the company's owners is irrelevant — what matters is where the profit-generating activities take place.

Key points for non-resident owners:

• Hong Kong-sourced profits are taxed at 8.25% on the first HK$2 million and 16.5% thereafter (two-tier system).

• Offshore profits (from activities conducted entirely outside Hong Kong) may be exempt from profits tax, though you must be prepared to substantiate your claim if the Inland Revenue Department queries it.

• No capital gains tax applies in Hong Kong.

• No withholding tax on dividends paid to non-resident shareholders.

• No foreign exchange controls — you can move money in and out of Hong Kong freely.

Since January 2023, a refined Foreign-Sourced Income Exemption (FSIE) regime applies to certain types of passive income (dividends, interest, disposal gains, IP income) received by multinational enterprise entities. If your company structure involves passive income streams from overseas, professional tax advice is recommended.

Do I Need a Visa to Work in Hong Kong?

Incorporating a company in Hong Kong does not automatically grant you the right to live or work there. If you plan to physically work in Hong Kong, you will need to obtain an appropriate work visa.

The most relevant option for business owners is the General Employment Policy (GEP) visa, which is available to foreign professionals with skills not readily available locally. You can be sponsored by your own Hong Kong company for this visa, provided you can demonstrate that the role is genuine and the business is viable.

Key GEP visa requirements include holding a relevant degree or equivalent professional experience, a genuine job offer from a Hong Kong employer (which can be your own company), and a salary that matches prevailing market standards.

If you plan to run the business remotely from overseas, no visa is needed. Many foreign founders operate their Hong Kong company entirely from their home country, visiting Hong Kong only occasionally for meetings or banking.

Common Structures Used by Foreign Entrepreneurs

The most common setup is a straightforward single Hong Kong company with the foreign founder as sole director and shareholder, a local company secretary, and a Hong Kong registered office. This works well for most startups, trading businesses, and service companies.

More complex structures may be appropriate for larger operations, such as a holding company in the founder's home jurisdiction with a Hong Kong subsidiary, or a multi-entity structure with operations across several Asian markets. IMSG can advise on the best structure for your specific situation.

Frequently Asked Questions

Can I be the sole director and sole shareholder as a foreigner?

Yes. There is no restriction. However, you cannot also be the company secretary — that must be a separate Hong Kong-resident person or TCSP-licensed entity.

Do I need a Hong Kong bank account?

It is not a legal requirement to have a Hong Kong bank account, but it is highly recommended for practical purposes, particularly if your company will be invoicing clients, paying suppliers, or conducting transactions in HK dollars.

Can I incorporate from my home country without visiting Hong Kong?

Yes. The entire process can be done remotely. You will need to provide scanned copies of your passport and proof of address. All documents can be signed electronically and filed via the e-Registry.

How long does the process take for non-residents?

The incorporation itself takes 1 to 3 days with e-filing. Including document preparation, the full process typically takes 3 to 7 working days. Bank account opening, if required, adds 2 to 8 weeks.

How IMSG Can Help

IMSG Corporate Services specialises in helping non-resident founders and foreign businesses incorporate in Hong Kong. We handle the entire process remotely, from company name search and document preparation to filing, company secretary appointment, and registered office setup. We also provide ongoing compliance support, accounting, and tax filing services.

If you are a foreign entrepreneur looking to set up a company in Hong Kong, get in touch with us for a free consultation. We will walk you through the process and provide a clear quote based on your specific needs.